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Unformatted text preview: thereby risking their jobs. 3) By raising the 4 th quarter targets to an unreasonable height, very few stores achieved the new bonus. As a result, this will lead to decreased productivity. One reason is that the stores have lost faith in the management, because management has not been consistent and has given no reason to indicate that the price targets will stop rising. This will discourage the workers because they will feel their efforts will never be good enough. Also, the unreachable price target will lead to a decreased productivity because since the workers know they will never be able to reach the target. Knowing that the will never reach a bonus, they have no incentives to work harder because they will still be getting their base salary....
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This homework help was uploaded on 04/07/2008 for the course MGT 100 taught by Professor Aharonson during the Spring '08 term at Washington University in St. Louis.
- Spring '08